Housing and Community Development (HCD) Practice Exam

What condition applies to manufactured homes sold in place regarding annual license fees?

1. They are always exempt from fees

2. They incur fees only if sold

3. They incur fees continuously regardless of sale

4. They are only assessed fees after a year of ownership

The correct answer is: They incur fees continuously regardless of sale

Manufactured homes sold in place incur annual license fees continuously regardless of whether the home is sold. This means that as long as the manufactured home remains in a specific location, it is subject to these fees each year. The rationale behind this is tied to the regulation of manufactured housing and the maintenance of community standards and services that support housing. Keeping a framework in place that requires such fees ensures that there is continual funding available for necessary local infrastructure, services, and programs that benefit the residents. In contrast, other options suggest conditions that either completely exempt manufactured homes from fees or tie fees to specific events like sale or ownership duration, which do not align with the regulatory practices governing fees for manufactured homes. These alternatives imply a more intermittent or non-existent financial obligation, which would not support the ongoing needs associated with the management of such housing types.